Utah Law Real Estate Flashcards

Utah Law Real Estate Flashcards If there is a violation by the Broker of Chapter VII (Supervision and Commission Payments) what is the possible punishment?It is cause for revocation, suspension or probation of the Broker's License or a fine of up to $5,000 How are funds received for the Real Estate Recovery Fund?Short answer? Renewal fees, Interest, and fines After 40 years off deedMarketable REcord Title Act Which of the following is a TRUE of the Director of Real Estate Division?a. He is part timeb. he is appointed by the Governorc. he is responsible for preparing a budget for the fiscal yeard. he is responsible for hiring employees for the divisione - both c and d are true answer - e. He is Full time, not part time. He is appointed by the Executive Director of the Department of Commerce, not the Governor. He is responsible for turning in the budget by October 1 and yes, he does have to hire paid employees for the division.What is it called when a Broker puts in more than $500 of his own money into a Real Estate Trust Account?Commingling Red flags for FraudSignificant cash proceedsUndisclosed mortgagerLoan participants motivation in questionsDocumentation discrepanciesDocument inconsistency What is SARSuspicious Activity Report What happens to your license if Real Estate Recovery Fund has to pay out money for you?Baby, you are REVOKED! Reapplication for a license can not happen until you pay back the fund plus interest!EPAProtects the Environment All of the following require a change through RELM Except -a - Broker changeb - Agent address changec - Personal name changed - you got marriede - Brokerage decides to change it's name d - you got married is wrong. It doesn't matter if you got mattered as long as you didn't change your name.However, if you changed your name then yes, they need to know.This federal act added two new protected classes - handicapp and marital status to the Federal Housing Laws Federal Fair Housing Amendment Act 1988 What is "Constructive Fraud?"Guilty party had no evil intent or intention.Statement of AccountAt the expiration of the 30 days after an offer has been made and accepted, or when the client requests, the principal broker must provide a detailed statement showing current status of the transaction and a transaction status statement at 30 day intervals UNTIL the transaction is closed or fails (in other words, don't just leave a listing "active" and "expired." Close it out or you will have to keep sending statements Interest rate plus any other direct charges for loan Used for side by side comparisons of loans APR Body of law that regulates the transfer of sale of personal property such as selling a business UCC Uniform Commercial Code The doc identifying all moneyClosing Statement

How can you get your license out of inactive status?a - take the exam within six months of when you want to reactivateb

• take 18 hours of continuing educationc - pay a bonus to

your brokerd- agree to accept less commission during your first 6 months of being activee - either a or b, but not both are necessary answer - e Who can a Licensee receive a commission from? ONLY their Broker Extended the FHA of 1866 by adding color, sex, religion or national orgin FHA of 1968 Which of the following is NOT necessary when commission is due and may be paid from the Brokerages Trust

Account:a - Written authorization from the partiesb - closing

or otherwise terminating the transactionc- Telling the parties you have a settlement statementd- Ensuring that the buyer or seller who the principal broker represents has been paid the amount due according to the settlement statement c - the broker can't just tell them. She must deliver the settlement statement to both parties You can't do panic selling like starting rumors that minorities are moving in Block busting What if you forget to renew?You have 30 days that it will be inactive, but you can renew with an extra fee Which of the following is not a requirement to be a Sales

Agent in the State of Utah:a. 18 years oldb. a high school

or ged diplomac. Successfully completed your 120 hoursd.Must be a licensed attorneye. All of the above answer d - if you are a licensed attorney, you do not need to complete the 120 hours of education Does an owner of a building have to have a real estate license to lease out an office in his own building?No. Owners of homes and offices do not have to have a license to rent or sell their own property. But they should be the ones collecting rent. Not someone else.THe broker who manages the offices and is responsiblePrincipal Broker What happens when a Broker Dies?1 - The owners of the company can hire a new broker or a principal broker can take over.2 - If the owners can't do that, they can -a - cease operationsb- do a change form and change status to inactivec- inactivate all the licenses of licensees affiliatedd- advise the Division where the records aree - notify all the listings that they can find a new brokerf

• Notify each party and broker of any exiting contractsg -

retain money in trust and give them an "administrator" or "executor." How much money is in the Real Estate Recovery Fund at beginning of year 100K What is a Straw BuyerFraud. Someone uses someone with good credit to get a loan. They really are giving the loan to someone with lousy credit. The straw buyer puts up the front. He thinks there is something in it but when the house is sold, etc, the participants are no where to be found, and the straw buyer

is left with the bag.What if you really forget to renew?After the first 30 says of being inactive, you have six months to do 18 hours CE. If you go past 6 months, that number becomes 24 hours of CE. If you really, really forget and go past twelve months? You're screwed and have to

start all over.How do the 60 points work?A minimum of two years and 45 points must be acquired while licensed with and working under the supervision of a principal broker. The remaining year and or 15 points may